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Private-sector jobs up by 177,000 in June, healthcare leads growth: ADP

July 05, 2018

US private sector employment rose by 177,000 jobs in June from May with the healthcare/social assistance segment leading the growth, according to the ADP National Employment Report. The healthcare/social assistance segment added 37,000 jobs in June.

The total number of private-sector jobs had increase by 189,000 in May and 170,000 in April.

“Business’ number one problem is finding qualified workers,” said Mark Zandi, chief economist of Moody’s Analytics. “At the current pace of job growth, if sustained, this problem is set to get much worse. These labor shortages will only intensify across all industries and company sizes.”

June’s jobs gain was close to the forecast from economists polled by Econoday, who had expected on average an increase of 190,000, according to MarketWatch. The labor market is seen as strong, with employment gains averaging 207,000 per month so far this year.

The number of goods-producing jobs rose by 29,000 in June on gains of 13,000 construction jobs, 12,000 manufacturing jobs and 5,000 natural resources/mining jobs.

Service-providing jobs rose by 148,000 in June, including by 46,000 jobs in education/health services and 33,000 jobs each in professional/business services and leisure/hospitality.

Jobs in information posted the only decline, falling by 2,000.

Large businesses added 69,000 jobs in June, midsize businesses added 80,000 jobs and small businesses added 29,000 jobs.

“The labor market continues to march towards full employment,” said Ahu Yildirmaz, VP and co-head of the ADP Research Institute. “Healthcare led job growth once again and trade rebounded nicely.”